CTHRepealedLegislation
AASB 123 - Borrowing Costs - July 2004
B.4 Identifying qualifying assetsB.4 Identifying qualifying assets
Start here
Get a plain-English read of B.4 Identifying qualifying assets
Turn the raw legal text into a practical explanation grounded in AASB 123 - Borrowing Costs - July 2004.
B.4 Identifying qualifying assets
AASB 1036.11.1.9 and 11.1.10 contain guidance on the identification of qualifying assets additional to that in AASB 123.6 and notes that:
- financial assets are not qualifying assets, even where they are equity securities in another entity that has a qualifying asset (paragraph 11.1.9); and
- a substantial period of time referred to in the definition of qualifying asset is generally regarded as more than twelve months elapsing from the time activities necessary to prepare the asset for its intended use or sale commence until the time when substantially all such activities are complete (paragraph 11.1.10).